Maine Law Update January 2025

On January 1, 2025, the following changes to Maine employment law take effect and, unless otherwise noted, apply to employers of all sizes:


Minimum Wage

State The minimum wage in Maine will increase to $14.65/hour. The minimum base wage for tipped employees will increase to $7.33/hour. For an employer to take a tip credit, an employee must make more than $185 per month in tips—this minimum applies in Portland and Rockland as well.


The minimum salary threshold for exempt employees will be $845.21 per week ($43,951 annually).


Portland

The minimum wage in Portland will increase to $15.50 per hour. The minimum base wage for tipped employees will increase to $7.75 per hour.


Rockland

The minimum wage in Rockland for employers with 26 or more employees will increase to $15.38 per hour and the minimum base wage for tipped employees will increase to $7.69 per hour. Smaller employers can pay the state minimum wage and tipped employee base wage.


Paid Family & Medical Leave

The state’s Paid Family and Medical Leave (PFML) program payroll contributions begin January 1. Employers should post the required notice at each worksite in a conspicuous location in English (and any other primary language spoken by three or more employees in that workplace).


Employers should also be prepared to provide a written notice to each new employee within 30 days of hire date.


Action Items:

  • Post the notice and add it to new hire packets

  • Start withholding employee premiums from paychecks on January 1

 

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